How much is the Market Cooperative Contribution for a Bombs Away franchise currently?
Bombs_Away Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Market Cooperative Contribution | As determined by co-op. Currently, none. | Monthly, on the 2nd day of the following month | We have the right to establish local or regional advertising cooperatives. The maximum contribution that a co-op may require is 5% of gross sales. |
There are currently no marketing cooperatives, purchasing cooperatives, or other cooperatives that impose fees on you.
Source: Item 6 — OTHER FEES (FDD pages 9–13)
What This Means (2024 FDD)
According to Bombs Away's 2024 Franchise Disclosure Document, the current Market Cooperative Contribution is none. However, Bombs Away retains the right to establish local or regional advertising cooperatives in the future. Should these cooperatives be established, the maximum contribution that a co-op may require is 5% of gross sales. This contribution would be paid monthly, on the 2nd day of the following month.
Currently, there are no marketing cooperatives, purchasing cooperatives, or other cooperatives that impose fees on Bombs Away franchisees. This means that franchisees are not presently required to contribute to any cooperative advertising or marketing efforts beyond the standard marketing fund contribution.
It is important for prospective franchisees to understand that while the Market Cooperative Contribution is currently set at none, this could change during the term of the franchise agreement. Bombs Away has the discretion to establish these cooperatives and require contributions up to the specified maximum of 5% of gross sales. Franchisees should factor this potential future expense into their financial planning and be prepared for the possibility of increased marketing costs should such cooperatives be formed.